FAQs

FAQs

We believe in the power of clear communication.If you have any questions regarding how our services
can help transform your business, please take a quick look at our helpful FAQs section below.

Payroll & Statutory Reporting

What do I need to do as an employer with regards to my tax obligations?

A. Keep comprehensive payroll records for every employee, for at least 7 years.

B. Report the remuneration paid to each employee, including: housing allowance, travel expense, training reimbursements, etc. For further details, please refer to the Inland Revenue Department.

Is there statutory reporting of submission required for all new employees?

Yes, there is. You must file one copy of IR56E within 3 months of the commencement of employment, if you anticipate that the employee is likely to be charged salaries tax. The threshold for this is currently an annual income of $120,000.

What is the statutory reporting of submission required for a terminated employee?

You must file one copy of IR56F one month before the date of termination of their employment. Or, file one copy of IR56G in the case of an employee leaving Hong Kong with no plans to return. For further details, please refer to the Inland Revenue Department.


MPF

Can you tell me what MPF is?

The Mandatory Provident Fund (MPF) is a compulsory pension fund designed by the Hong Kong government as means of income protection for retired residents. Most employees and their employers are required to make monthly contributions.

What do I need to consider when choosing a suitable MPF scheme?

Due to the large number of schemes available, we always suggest that you first consult with your employees. This will give you a clear direction, based on the issues that are important to your workforce. 

Relevant issues to consider include:
  • The fees and charges payable under each scheme The various types of constituent funds available The level of customer service offered
  • Do I have to enroll all overseas employees in an MPF scheme?

    In the event that the expatriates have been given permission by the Government of the HKSAR to remain in Hong Kong for employment purposes and either:
      They are members of an overseas retirement scheme or the period during which they are given permission to remain in Hong Kong is 13 months or less,they are fully exempt from having to join an MPF scheme.

    How do I treat student interns regards MPF scheme enrollment?

    If your student is aged 18 and over, and employed as a regular employee over a continuous period of 60 days or more, you are required to enroll the student into an MPF scheme within the first 60 days of employment. Please not that this does not apply to students working as casual employees in the construction or catering industries. In this case the student must be enrolled in an MPF scheme.


    Maternity and Paternity Leaves

    What is the statutory maternity leave in Hong Kong?

    An employee is eligible for 10 weeks of paid maternity leave if she has been employed under a continuous contract for not less than 40 weeks immediately before the commencement of the scheduled maternity leave. For more details, please refer to the Labour Department.

    What is the statutory paternity leave in Hong Kong?

    Employees whose child is born on or after 27 February 2015 are entitled to 3 days of paternity leave, which is to be taken consecutively or separately for each confinement of their spouse or partner, if they fulfill all other requirements as stipulated in the law. For more details, please refer to Statutory Paternity Leave.